Financial institutions move to cut ties with risky investments: 'Domestic banks are now embracing their crucial role'

Philippine banks pulled investments from gas and coal companies in 2024. Such a move can be seen as a signal for companies to continue withdrawing support from the fossil fuel industry.

"I would like to hope that this state of affairs is a mark that our domestic banks are now all the more embracing their crucial role in pushing back against worse climate chaos," Bishop Gerry Alminaza, the lead convener of Withdraw From Coal: End Fossil Fuels, told Power Philippines News.

Renewable energy financing skyrocketed to $1.28 billion that same year, indicating a shift in support for clean energy sources amid the environmental crisis.

The results were recorded by the 2025 Fossil Fuel Divestment Scorecard from the Center for Energy, Ecology, and Development.

In the Philippines alone, renewable energy companies are reported to employ 357,000 people, according to Statista in 2023. Solar energy employs about 203,000 people. Meanwhile, the sector created 16.2 million jobs globally in 2023, an 18% increase from the previous year.

The sector will only grow as more countries embrace renewable energy. When corporations such as banks make the switch, others will follow suit, developing more jobs, opportunities, and economic benefits globally. Contrastingly, nonrenewable energy sources are becoming a liability as companies continue to pull investments.

Watch now: How bad is a gas stove for your home's indoor air quality?

Without sustainability, the long-term capacity for financial growth from depleting resources through emissions is impossible. Given that 22% of all global emissions come from fuel combustion, a dramatic shift can result from corporations divesting.

"This year's Fossil Fuel Divestment Scorecard offers a glimpse of hope, with no new financing for coal or gas recorded among domestic commercial banks in 2024," Alminaza said, per Power Philippines News.

Alminaza also pointed out companies that are still investing in nonrenewable energy, which indicates there is still work to be done.

Should governments be investing money into new, futuristic cities?

Definitely 👍